United States Fuel Revolution
Major Hurdles, no easy Answers to Petroleum Alternatives
Ethanol has a supplemental role in the nation's fuel supply, but it is not the magic cornstalk remedy to those pump price blues.
A high school teacher raised the dilemma of rising gasoline prices and the increased financial burden on the working public to the President last year. The President’s reply, “Ethanol,” was immediate, almost reflexive. This was a curious response from a “big-oil” Texas native, promoting a fledgling, alternate fuel source based on the Midwestern corn crop.
The focus here is not to contest the viability of ethanol as a fuel source, but to acknowledge the hurdles that lie ahead. There are real answers to the oil quandary that do not depend on magic, just tough business decisions.
John Measmer worked nearly 40 years as an accountant for Exxon Corporation in Houston, Texas. When questioned about the President’s simple solution to the spiraling fuel problem, Measmer responded, “American’s are using 20 million barrels of oil each day to fuel their cars, and that translates to a lot of corn. The bulk of the bushels and their refineries originate in the Midwest. Because ethanol is a corrosive and absorbs water, it requires delivery by truck or rail to its destinations around the country.”
He continues, “Petroleum companies began using ethanol as an additive in the gas mix in the 1970s to satisfy environmental concerns, and its use will increase in the near future. As an oxygen agent, it delivers cleaner-burning fuel, but at a cost of fewer miles to the gallon, so all things considered, it is really more expensive than unleaded gasoline to deliver.”
Concerning alternate fuel sources, Measmer offers these remarks. “Oil will be around for awhile, though possibly derived from an alternate source. There is significant research and exploration in the prospect of extracting oil from sand in northwest Canada. Shale rock is another rich source of petroleum, and the largest shale deposits are in this country. As the cost of oil on the market escalates, these methods become more cost-efficient for implementation.”
David Pimentel, retired Cornell University professor, is opposed to the ethanol movement. “I wish it were all true,” he says to Jim Pollock of the Des Moines Business Record (2005). According to Pimentel, ethanol production requires more energy from the farm to the processing plant to produce than it yields in burnable fuel. In a recent report for the Department of the Interior, he states that the pesticides and fertilizers necessary to grow corn are greater than any other vegetable.
He calculates the average American would need 11 acres of corn to supply the 850 gallons of fuel a year for one vehicle. At that rate, 97% of total United States land mass would be necessary to power the fleet of cars. This leaves nothing for human consumption, livestock feed, or care packages to starving third world countries. The diversion of corn into fuel will affect the average consumer at the grocery store. Competition for the corn will drive feed prices higher, translating into higher beef and poultry prices.
Perhaps the President wanted to avoid a lengthy explanation with his simple answer to the schoolteacher. The renovation of the fuel industry is a complex problem and the solutions are equally advanced. The future transportation needs of the nation will depend on the creativity of men at work today, but will not come cheaply. The smart money is on the capitalist, not the politician.
